On March 18, the US Federal Reserve (Fed) maintained its key interest rate in the range of 3.5% to 3.75%.
"Current indicators suggest that economic activity is growing at a steady pace. Job growth remains low, and the unemployment rate has changed little in recent months. Inflation is still somewhat elevated," the press release stated.
Fed officials noted that uncertainty regarding economic prospects remains high. The long-term impact of events in the Middle East on the US economy is still difficult to assess.
The Fed also reiterated its inflation target of 2%.
This marks the second consecutive time the Fed has kept rates steady after a series of cuts. The decision aligned with market expectations and analysts' consensus forecasts.
Bitcoin showed little reaction to the announcement. At the time of writing, the digital asset is trading around $71,600, up 3.7% over the past day.
Assets in the top 10 by market capitalization also did not show significant changes.
During a press conference, Fed Chair Jerome Powell stated that the economy is growing steadily, but inflation remains high. The current monetary policy is "appropriate" given the situation in Iran.
"The consequences of events in the Middle East for the US economy remain uncertain. In the near term, rising energy prices will contribute to overall inflation, and it is still too early to discuss the scale and duration of potential impacts on the economy," Powell added.
Recall that in February, the US consumer price index remained unchanged at 2.4%.
How does the Fed rate affect cryptocurrency prices?